* Canadian dollar trades near flat against the greenback
* Loonie holds near a four-month high
* Canadian bond prices rise across the yield curve
* Coalition Avenir Quebec wins power in Canada's Quebec
province
TORONTO, Oct 2 (Reuters) - The Canadian dollar was little
changed against its broadly stronger U.S. counterpart on
Tuesday, holding on to most of the gains that followed a deal
over the weekend to keep Canada in a revamped NAFTA trade pact.
The deal to salvage the trilateral North American Free Trade
Agreement has reduced uncertainty for Canada's trade-dependent
economy, boosting investor expectations for as many as four
additional interest rate increases from the Bank of Canada by
the end of 2019.
The first of those hikes is expected at the bank's Oct. 24
policy meeting.
The U.S. dollar climbed against a basket of other
major currencies as the euro was pressured by Italian political
developments.
At 9:32 a.m. (1332 GMT), the Canadian dollar was
trading nearly unchanged at C$1.2817 to the greenback, or 78.02
U.S. cents, outperforming every other G10 currency except the
safe-haven yen and Swiss franc.
The loonie, which on Monday touched its highest in more than
four months at C$1.2783, traded in a range of C$1.2800 to
C$1.2840.
The price of oil, one of Canada's major exports, remained
near its highest since November 2014 as markets braced for
tighter supply once U.S. sanctions against Iran kick in next
month. The price of U.S. crude was up 0.2 percent at
$75.44 a barrel.
A massive liquefied natural gas (LNG) export project in
Canada has been given the final go-ahead by project partners,
LNG Canada said, making it the first major new project for the
fuel to win approval in recent years.
Canadian government bond prices were higher across the yield
curve, with the 10-year rising 16 Canadian cents to
yield 2.487 percent. The yield on the 10-year on Monday reached
2.519 percent, its highest in more than four months.
The center-right Coalition Avenir Quebec, campaigning on a
promise to curb immigration, won power for the first time in
Canada's Quebec province on Monday, dealing a blow to the
Liberal incumbents.
The yield on Quebec's 10-year bond fell 2.4 basis points to
3.092 percent, which was slightly more than the 1.9 basis point
drop for Ontario's bond of the same maturity.
Canada's jobs data for September and August trade data are
due on Friday.
(Reporting by Fergal Smith; Editing by Steve Orlofsky)